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Lack Of Funding = Lack Of Construction


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03/30/2005

State funding could delay highway projects

By: Howard Roden , Courier staff

State funding of road construction projects may be suspended for only a short time, but Montgomery County officials are concerned even the slightest delay could negatively impact this region's traffic woes.

Because the Texas Bond Review Board delayed a vote to approve the sale of about $1 billion in road construction bonds, the Texas Department of Transportation has started compiling a list of projects it may have to postpone or eliminate due to a lack of funds.

TxDOT spokesman Mike Cox said Tuesday the expansion of the 4 1/2-mile section of Interstate 45 between south and north Loop 336 - already 11 years behind its projected completion date - is one of the yet-to-be funded projects that could become a victim of the cash flow interruption.

"If the project's already under way, the funding is in place so completion of the project is assured," Cox said. "If the funding has not been approved, in theory it (I-45) could be one of those projects affected."

As chairman of the Senate Committee on Transportation and Homeland Security, State Senator Todd Staples, R-Palestine, vowed to make certain the I-45 expansion project remains at the top of TxDOT"s active to-do list.

"Widening of I-45 must be a priority and must be included on any departmental plan in the short term," he said during a phone call from the state Legislature in Austin. "Unfortunately, the funding delay involved one of the most critical transportation corridors in the state. We need to do all we can to expedite the current project and speed up the others to compensate for the current delays."

Guy Martin, chairman of the city of Conroe's Traffic Advisory Committee, termed the possibility of a delay on future I-45 construction as "unacceptable." As of December, the project's estimated cost was $152 million, according to TxDOT officials. "We've got to make certain we're an area that can't be cut," he said. "We need a certain amount of (political) influence to hold our ground on this project. It concerns me deeply that the most important traffic project in Conroe for the next decade might be pushed back or cut. "It's bad news where I'm standing," Martin said.

Conroe Mayor Tommy Metcalf said he received assurances from Staples last week that future I-45 expansion would proceed. "It's my understanding that the funding (for the project) has been approved," he said. "As of last Thursday this project was a go."

TxDOT Executive Director Michael Behrens has required the 25 district engineers across the state begin compiling a list of projects that can be postponed or eliminated. He has also asked them to delay awarding some contracts.

A Houston district spokesman referred all questions about possible project cuts to TxDOT's Austin office, where Cox said a statewide list was still being developed.

"We have no indication as to what projects may be affected," he said. "Obviously, TxDOT has a compelling interest to improve mobility in Texas and relieve congestion. But it would be fiscally irresponsible if we do not adjust our spending on the basis of cash flow. The department can't operate on a negative bank balance."

Continuing with TxDOT's current plans would have put it $62 million in the red by the end of August, said TxDOT spokesman Randall Dillard.

The $1 billion earmarked for future road projects would come from the sale of Texas Mobility Fund bonds, which are financed by traffic fines. The governor, lieutenant governor, comptroller and House speaker sit on the bond review board but can appoint alternates.

At the board meeting on March 17, a representative for Comptroller Carole Keeton Strayhorn read a statement in which Strayhorn supports the issuing of bonds but opposes plans to make only interest payments during the first three to five years instead of paying part of the principal.

Mark Minor, a spokesman for Lt. Gov. David Dewhurst said last week Dewhurst "is supportive of the bonds," but there are "technical issues that need to be worked out, and that will be done."

Staples and Montgomery Country Judge Alan Sadler expect the bond issue to be resolved by the review board's next meeting on May 19 at the latest. "I think the problem will be rectified shortly," said Sadler, who was en route from Austin after participating in "Montgomery County Day at the Capitol" festivities. "There's too much water under the bridge where the funding is imminent. But I'm concerned any time problems like this occur."

Staples said he was confident the review board would "work through the process" to reach a quick resolution.

"Anytime you take on debt, everyone has to be satisfied with the process," he said.

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